Intermediate Accounting, Thirteenth Edition

Chapter 1. FINANCIAL ACCOUNTING AND ACCOUNTING STANDARDS

LEARNING OBJECTIVES

After studying this chapter, you should be able to:

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Thinking Outside the Box

One might take pride in the fact that the U.S. system of financial reporting has long been the most robust and transparent in the world. But most would also comment that we can do better, particularly in light of the many accounting scandals that have occurred at companies like AIG, Enron, and WorldCom. So it is time for reevaluation—a time to step back and evaluate whether changes are necessary in the U.S. financial reporting system. In doing so, ...